Iran conflict triggers oil surge and stock market decline across Europe

Global financial markets fell sharply on Monday after U.S. and Israeli strikes on Iran and an Iranian counter-attack over the weekend. Oil prices jumped around 8 to 10 percent, with Brent crude trading near 80 dollars a barrel. European gas prices rose more than 20 percent because traders worried about supplies through the Strait of Hormuz, a key route for oil and gas shipments. Major European stock indexes also dropped. Germany's DAX and France's CAC 40 each fell over 2 percent, while London's FTSE 100 lost more than 1 percent. Gold climbed over 2 percent as investors moved money into safer assets. Energy and defence stocks gained. Some UK banks have already cut their economic growth forecasts because of rising energy costs.